Given cost price is 100 and the mark-up is 30%, how much is the selling price ?
70
130
107
103
Given the selling price is 100 and the margin is 30%, how much is the cost price ?
70
130
170
230
The formular of Using absorption of overheads to calculate percentage of direct materials is
total budgeted overheads / total direct labour
total budgeted overheads / total prime cost
total budgeted overheads / budgeted material cost
total budgeted overheads / total machine hours
How do you calculate prime cost ?
selling price - profit
selling price - markup
selling price - margin
direct material cost + direct labour cost + direct expenses
Which accounting period is the most commonly used ?
monthly
annually
semiannually
quarterly
How do you calculate goods available for sale ?
beginning inventory + net purchase
beginning inventory + cost of goods sold
beginning inventory - ending inventory
ending inventory - cost of goods sold
How can we shorten the operating cycle ?
make credi sales
increase accounts receivables
make cash sales
increase purchase period
How do you figure out gross profit ?
revenue - expenses
revenue - net sales
net sales - cost of goods sold
net income - expenses
What are the two inventory value methods ?
FIFO and LIFO
specific identification and AVCO
FIFO and AVCO
perpetual systems and periodical systems
Which method used to assign cost does China use ?
FIFO
LIFO
AVCO
Specific Identification
What does LIFO mean ?
First in, First out
Last in, First out
Weighted average
no order when dealing with inventory
Which will not be affected by inventory value methods ?
liability
cost of goods sold
gross profit
asset